A new report claims Connecticut casinos will lose $570m in gaming revenue per year if they aren’t given the proper tools to combat regional competition.
The report, commissioned by the tribes that run the Mohegan Sun and Foxwoods Resort Casino gaming joints, not unsurprisingly backs the tribes’ contention that they need to put ‘buffer’ casinos on the border with Massachusetts to fend off MGM Resorts’ planned $800m casino in Springfield. New casinos planned for New York State are also forecast to drink Connecticut’s milkshake in the coming years.
Mohegan Tribe chairman Kevin Brown says the report is part of “the education process” to convince state legislators to allow the tribes to open jointly run casinos off tribal lands. No concrete proposals have yet been introduced to the legislature but tribal lawyers are reportedly negotiating the broad strokes with the state’s attorney general.
The Pyramid Associates report commissioned by the tribes says Connecticut casinos will lose an additional $133m in non-gaming revenue per year by 2019. The downturn will result in the loss of up to 5,700 jobs by the end of the decade as gamblers in neighboring states choose gaming options closer to home. The report says Connecticut is facing a decline “second only to the transfer from New Jersey’s casinos to Pennsylvania’s casinos that occurred from 2006 to 2014.” During that time span, Atlantic City casinos’ annual gaming revenue shrunk 48%.